Managed Forex Funds

Managed forex funds are managed forex accounts which are managed by professional forex money managers who employ a diverse range of trading strategies, and who, if they are doing their job properly will use strict money management principles to control risk.

Managed Forex Accounts - Safety of Funds 

One of the key reasons that managed forex accounts are growing in popularity is that your funds may be safer than in a hedge fund.  When you open a managed forex account, the professional money manager will never have the access to withdraw your funds.  Unlike the recent hedge fund fiasco of the Madoff case, an investor in a managed forex account has daily access to his account. His funds are held by a custodian, and the manager never has the opportunity to gain access to those funds.

How to research a Managed Forex Account?

These days, anyone can cobble together a website claiming they are an expert forex trader, and set themselves up as a professional money manger. Here are a number of pointers to help you to find a reputable manager to set up your managed forex account: 

• Ask to see  their track record.  A well managed forex account will produce regular income, provide long term capital growth, and not have large drawdowns. Therefore ask to see their trading records, ideally from an independent source.
• Where are the managed forex accounts held?  Insist that the account is held with a reputable forex broker, which is properly regulated and capitalised.
• How many managed forex accounts does the money manager trade?
• How much experience does the manager have of trading managed forex funds?
• How much funds does the manager have under management?
• Can they provide you with a reference from a client who is happy with the manager's performance for the managed forex account?  Do not settle for a copy of an email, as these can be easily fabricated.

 One example of a well run managed forex account, and which satisfies all of the above criteria is Athena Managed Forex, which is run by Athena Capital Group.  You can get more information about Athena in our managed forex reviews section, or from their website.

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